Washington, D. C. 20549

                        Report of Foreign Private Issuer
                      Pursuant to Rule 13a-16 or 15d-16 of
                       the Securities Exchange Act of 1934

                           For the month of June 2006

                               DIANA SHIPPING INC.
                 (Translation of registrant's name into English)

                               Diana Shipping Inc.
                                   Pendelis 16
                              175 64 Palaio Faliro
                                 Athens, Greece

                    (Address of principal executive offices)

     Indicate  by check mark  whether the  registrant  files or will file annual
reports under cover Form 20-F or Form 40-F.

                        Form 20-F [X] Form 40-F [_]

     Indicate by check mark whether the registrant by furnishing the information
contained  in this  Form is  also  thereby  furnishing  the  information  to the
commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934.

                             Yes [_]   No [X]


     Attached  to this  Report  on Form 6-K as  Exhibit 1 is a copy of the press
release  issued by Diana  Shipping  Inc. (the  "Company") on June 9, 2006,  with
respect to its follow-on offering.

                                                                       Exhibit 1

                                              Corporate Contact:
                                              Ioannis Zafirakis
                                              Director and Vice-President
                                              Telephone: + 30-210-9470100
       For Immediate Release
                                              Investor and Media Relations:
                                              Edward Nebb
                                              Euro RSCG Magnet
                                              Telephone: + 1-212-367-6848

         Diana Shipping Inc. Announces Completion of Follow-On Offering
                   and Signing of Option to Acquire New Vessel

ATHENS,  GREECE,  June 9, 2006 - Diana Shipping Inc. (NYSE: DSX) today announces
the  completion  of its follow-on  offering of 7,000,000  shares of common stock
priced at $9.50 per share.

Bear, Stearns & Co. Inc. and Wachovia Capital Markets,  LLC are the joint global
coordinators and joint book-running managers for the offering.

In connection  with the offering,  the  underwriters  have been granted a 30-day
option to purchase up to 1,050,000  additional  shares of the  Company's  common
stock to cover any over-allotments.

A registration  statement  relating to these  securities has been filed with and
declared effective by the Securities and Exchange Commission. This communication
shall not  constitute an offer to sell or the  solicitation  of an offer to buy,
nor shall there be any sale of these  securities  in any  jurisdiction  in which
such offer,  solicitation  or sale would be unlawful  prior to  registration  or
qualification  under the securities laws of such  jurisdiction.  The offering of
these securities will be made only by means of a prospectus. A copy of the final
prospectus  may be obtained from the offices of Bear,  Stearns & Co. Inc. at 383
Madison Avenue, New York, New York 10179, Attention: Prospectus Department.

The Company also  announces  that on June 5, 2006,  it entered into an agreement
pursuant to which it was granted the option to acquire a newly built Panamax dry
bulk carrier, which it expects to take delivery of in July 2006.

About Diana Shipping Inc.

Diana Shipping Inc. is a global  provider of shipping  transportation  services.
The  Company  specializes  in  transporting  dry bulk  cargoes,  including  such
commodities  as iron  ore,  coal,  grain  and other  materials  along  worldwide
shipping routes.  The Company currently owns twelve modern Panamax bulk carriers
and one modern  Capesize bulk carrier.  Diana  Shipping Inc.  priced its initial
public offering of common stock on March 17, 2005.


         Pursuant to the requirements of the Securities Exchange Act of 1934,
the registrant has duly caused this report to be signed on its behalf by the
undersigned, thereunto duly authorized.

                               DIANA SHIPPING INC.

Dated:  June 9, 2006                      By:  /s/ Anastassis Margaronis
                                               Anastassis Margaronis

SK 23159 0002 677360